ITAT Dismisses Appeals as Withdrawn Under Direct Tax Vivad se Vishwas Scheme [Read Order]

In a recent order, the Income Tax Appellate Tribunal (ITAT), Delhi Bench  dismissed two appeals for the assessment years 2015-16 and 2016-17. The appeals were directed against the orders of the Commissioner of Income Tax (Appeals) New Delhi, dated May 22, 2024.

During the hearing, the appellant's counsel,  Shilpi Jain, Chartered Accountant, informed the Tribunal that the issues under dispute in the appeals had already been settled under the provisions of the Direct Tax Vivad se Vishwas Scheme, 2024.

The appellant, BRR Securities Private Ltd., had submitted Form No. 1, the required declaration for settling pending tax disputes, and had received Form No. 2, confirming the settlement. A copy of Form No. 2, issued on November 30, 2024, was presented to the Tribunal.

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The Direct Tax Vivad se Vishwas Scheme is a government initiative aimed at resolving pending tax disputes by offering taxpayers a one-time opportunity to settle their cases by paying a reduced amount of tax, interest, and penalty, thereby avoiding protracted litigation. In light of the fact that the matters under appeal had been settled under this scheme, the counsel requested the Tribunal to withdraw the appeals.

The revenue representative, Sanjay Sharma, Senior Departmental Representative, did not raise any objections to the request for withdrawal.

After hearing both parties and reviewing the submissions, the Single Member Bench of Challa Nagendra Prasad(Judicial Member) concluded that since the issues had been settled under the Vivad se Vishwas Scheme, the appeals were no longer necessary. Consequently, the appeals were dismissed as withdrawn.

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This decision highlights the growing impact of the Direct Tax Vivad se Vishwas Scheme in resolving tax disputes, allowing taxpayers to resolve their issues swiftly and avoid prolonged litigation. It is expected that many taxpayers will continue to utilize this scheme to settle their disputes in the coming months.

To Read the full text of the Order CLICK HERE

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